FIN 571 Course Great Wisdom / tutorialrank.com FIN 571 Course Great Wisdom / tutorialrank.com | Page 5

21.Which account is least apt to vary directly with sales?
accounts payable
inventory
accounts receivable
notes payable
cost of goods sold

22. The Wintergrass Company has an ROE of 15.1 percent and a
payout ratio of 40 percent.

What is the company’s sustainable growth rate? (Do not round
intermediate calculations and enter your answer as a percent rounded
to 2 decimal places, e.g., 32.16.)

23. If the Hunter Corp. has an ROE of 7 and a payout ratio of 15
percent, what is its sustainable growth rate?(Do not round
intermediate calculations and enter your answer as a percent rounded
to 2 decimal places, e.g., 32.16.)

24.The length of time between the acquisition of inventory and its
sale is called the:
operating cycle.
accounts receivable period.